TOKYO, May 18 (Reuters) 
Struggling Japanese video game maker Sega said on Friday it would develop three
games for Nintendo's GameCube console, scheduled for roll-out in September in
the domestic market.

The games include Sega's popular
arcade soccer title Virtua Striker.

Sega, in
a bid to recast itself as a top game software developer after axing its loss-making
Dreamcast console early this year, had agreed to supply games also to Microsoft's
Xbox game machine  due for launch this autumn  Sony's PlayStation
2 and Nintendo's Game Boy.

Hit by four years of losses,
the firm aims to return to the black on a group operating basis in the current
business year to next March.

By focusing on game software
development, Sega is targeting a near doubling in annual software sales to 120
billion yen ($978.7 million) in 2003-2004 from a projected 62 billion yen in 2001-2002.

In
late morning trading, Sega's shares were up 1.5% at 2,700 yen, in line with a
0.89% rise in the benchmark Nikkei stock average. ($1=122.60 Yen)